Mortgage rates have held in a very tight range over the past few months, but little by little, they are inching higher.
Mortgage rates are not picked from thin air. Just like stock prices, they are based on facts, opinions, and psychology.
There is a lot of news and data to interpret but, for the first time since last Fall’s precipitous decline in rates, psychological factors are now the driving force.
Mortgage bonds recently pushed through a “barrier” that should place continued pressure on mortgage rates to increase. In the last two years, mortgage prices have crossed this barrier just one time.
Trends tend to last for extended periods of time in the mortgage business and, for now, the trend is not your friend. If you’re shopping for a mortgage, today would be a good day to lock.